Are Europe’s wind and solar industries still attractive for Chinese companies?

Chinese foreign direct investment (FDI) has been rising exponentially since 2007. According to UNCTAD, it overtook FDI inflows in 2015, reaching US $140 billion. In the period between 2000 and 2014, the energy sector in Europe was the biggest recipient of Chinese FDI (28 percent), followed by the automotive, agricultural and real estate sectors. This policy brief reflects on the present state of Chinese FDI in the European solar and wind sectors, and concludes with some recommendations for European, and especially German, stakeholders.

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By Olivia Gippner, Dahrendorf Postdoctoral Fellow, London School of Economics and Wiebke Rabe, Dahrendorf Research Associate, Hertie School of Governance